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TMI Blog2018 (6) TMI 1390X X X X Extracts X X X X X X X X Extracts X X X X ..... ds to be examined afresh at the level of the Ld. DRP. The DRP is at liberty to consider the cases relied upon by the assessee as well as other cases/comparable cases, which are relevant for adjudication for the issues in hand. The assessee is also at liberty to furnish necessary evidences, if any, in support of its claim. Thus, the appeal of the assessee on the issues in hand is remanded back to the file of the ld. DRP for fresh adjudication X X X X Extracts X X X X X X X X Extracts X X X X ..... "), such as conducting market surveys, coordination activities, liaising activities and similar services. The assessee declared total income of ₹ 70,24,580/- in its return filed on 24/02/2010, which was further revised to ₹ 1,10,.62,980/- on 29/09/2010. The case of the assessee was selected for scrutiny, therefore, the Ld. TPO examined the arm's length Price (ALP) of the international transactions entered into by the assessee. The Ld. TPO made an adjustment of ₹ 2,55,34,575/- to the ALP of the international transaction relating to provision of services. The assessee objected to the adjustment made by the Ld. TPO before the Ld. DRP. The Ld. DRP while dealing with the objections of the assessee adjudicated upon few comparabl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d g. Overseeing inspection and weighing of goods shipped from overseas for delivery to Indian customers. 2.3. We find that the assessee adopted transactional net margin method (TNMM) with profit level indicator of operating cost to total cost (OP/TC). The assessee selected broadly about 22 comparable companies for bench marking the international transactions pertaining to business support services to AEs. In its search, the assessee selected market research companies engaged in the business of arranging tours and travels, facilities management and event management etc. As per the TP study, the margin of the assessee was 12.26% (page 415 of the paper book), resultantly, the international transaction pertaining to provision of services by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o pages 285-287 of the paper book. 3. So far as, ground no. 7, raised by the assessee, is with respect to alleged erroneous exclusion of comparable company "Trade wings Ltd." by the Ld. DRP/TPO. It was explained that the comparable company i.e. "Trade Wings Ltd." was rejected by Ld. TPO, holding that it does not pass the service income filter of 75% (page 17 of the TP order). However, the Ld. DRP vide its direction dated 30/06/2014, held that income from service charge of Trade Wing Ltd. is only ₹ 1.94 crores whereas, the total revenue is ₹ 10.26 crores, thus, not satisfying the service income filter (refer page-3 of the paper book for DRP directions dated 30/06/2014). Our attention was invited to page -54 of the paper book, wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he addition. In reply, the ld. Counsel for the assessee, placed reliance upon the decisions in the case of Sony India Pvt. Ltd. vs DCIT (2008) 114 ITD 448 (Del.), Philips Software Centre Pvt. Ltd. vs ACIT (2008) 119 TTJ 721 (Bangalore), Mentorgraphics (Noida)(P.) Ltd. vs CIT (2007) 109 ITD 101(Del.), Kodiak Networks India Pvt. Ltd. vs ACIT (2012) 52 SOT 189 (Bangalore) and E-Gain Communications Pvt. Ltd. 118 TTJ 354 (Pune). 4. If the observation made in the assessment order, conclusion drawn by the Ld. DRP and the assertions made by the respective counsel, if kept in juxtaposition with the facts of the present appeal, we find merit in the argument of the ld. Counsel for the assessee to the extent that the Ld. DRP has not analyzed the factu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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